BUS 343 Study Guide - Market Segmentation, Psychographic, Geodemography

• School: Simon Fraser University
• Department: Business Administration
• Course: BUS 343
• Professor: Zaheer Jiwani

Document Summary

Market fragmentation: the creation of many consumer groups due to a diversity of distinct needs and wants in modern society. Target marketing strategy: dividing the total market into different segments on the basis of customer characteristics, selecting one or more segments, and developing products to meet the needs of those specific segments. Segmentation: the process of dividing a larger market into smaller pieces based on one or more meaningfully shared characteristics. Segmentation variables: dimensions that divide the total market into fairly homogeneous groups, each with different needs and preferences. ****the larger consumer pie can be sliced into smaller pieces in a number of ways, including geographic, demographic, psychological, and behavioral differences. Behavioural segmentation: a technique that divides consumers into segments on the basic of how they act toward, feel about, or use a good or service. Benefit segmentation: a segmentation approach that groups consumers or customers based on the benefits or value they seek in buying and using products.